Digital Economy and Corporate Cash Holdings——From the Perspective of Business Environment and Industry Competition
Based on the inter-provincial panel data of China from 2011 to 2020,this paper constructs an evaluation index of the lev-el of digital economic development,and empirically tests the impact and mechanism of digital economic development on cash hold-ings of listed companies.The study finds that the development of digital economy can reduce the level of corporate cash holdings and the conclusion is still valid after a series of robustness tests.Channel mechanism shows that the development of digital econo-my reduces the level of corporate cash holdings by optimizing the business environment and improving industry competition.Fur-ther research shows that the impact of digital economy on the level of cash holdings of listed companies has certain heterogeneity in the nature of enterprise property rights,agent cost and digitized degree and digital economy also increases the cash holding value of enterprises.Based on this,it is proposed to increase investment in digital infrastructure,formulate relevant policies according to lo-cal conditions,and help enterprises with digital transformation.
digital economycash holdingsbusiness environmentindustry competition
NETL
NSTL
万方数据
